Employment Practices Liability Insurance

Employment Practice Liability Insurance -  protect your business against the threat of litigation by employees

Employment Practices Liability Insurance (EPLI) provides protection for an employer against employment claims made by employees, potential employees and former employees.
It can cover the  legal costs and expenses as well as court awards for a wide range of employment practice issues.

It can also include cover the cost of defending  any spurious or unfounded allegations, which are also just as costly to defend.  In such situations you will find that many employees will have legal aid, so there is no cost for them to pursue the case.

The number of Employment tribunal cases raised by disgruntled employees has increased dramatically over recent years, as employees become far more aware of their rights and are constantly looking for compensation.

Employment Practice Liability Insurance provides coverage for damages, judgements, settlements and defence costs for a range of violations.

Cover can include:

• Claims for unfair dismissal or termination
• Claims for age discrimination
• Claims for sex discrimination
• Claims for racial discrimination
• Claims for disability discrimination
• Claims for religious discrimination
• Claims for harassment
• Discrimination against “whistle blowers”
• Breach of a contract or breach of an implied contract
• Failure to employ or promote
• Failure to provide adequate employee procedures or employment policies
• Failure to furnish accurate references
• Constructive dismissal
• Claims for maternity or paternity issues
• Claims for flexible working hours issues

Does  Employment Practices Liability Insurance differ from the employment cover provided under commercial legal expenses insurance?
Employment cover under a legal expenses policy has certain limitations and usually imposes specific procedures.  Therefore should a company make a mistake in their employment practices, they may not be covered by the policy.
Also the policy limits under a commercial legal expenses policy can be relatively low (e.g. £50,000)
Also with a commercial legal expenses policy, it will only provide cover for cases that you are likely to win.

What is the difference between Employment Practices Liability and Directors and Officers Liability?

Employment Practices Liability Insurance covers the whole company, whereas directors and officers insurance covers only certain individuals in the company.  Employment claims are usually made against the company, but on some occasions individual employees or managers may also be pursued.

Ring Adrian on 0116 284 6097 for a quotation to cover your business against the cost of Employment Practices claims

or click here to make a general enquiry